The Department of Homeland Security (DHS) has proposed a new rule that would impose a $70,000 fee for colleges and universities sponsoring foreign students under the Optional Practical Training (OPT) program, a pathway allowing international students to work in the U.S. related to their field of study. The proposal, announced on October 7, also includes a $30,000 fee for each renewal or extension of the program’s authorization.
Under the current OPT program, eligible F-1 visa holders may work part-time during their studies and full-time after graduation for up to one year, with extensions available for certain STEM fields. The $500 application fee for OPT authorization would remain unchanged. To participate, students must secure a recommendation from a designated school official and obtain employment authorization from U.S. Citizenship and Immigration Services (USCIS).
DHS rationale for the proposal
The DHS stated the rule aims to reduce fraud, curb perceived competition with American workers, and strengthen the integrity of the immigration system. A spokesperson for the agency said in a statement: “Optional Practical Training was never meant to be a back door into the American workforce, a subsidy for cheap labor, or a prize for those who game the system. DHS is upskilling OPT to require foreign students to justify their worth to employers.”
Background and recent developments
The proposal follows a crackdown on visa fraud within the OPT program. U.S. Immigration and Customs Enforcement (ICE) has identified over 10,000 cases of fraud involving foreign student visas, including instances of ‘phantom employees’—cases where employers or students allegedly exploited the program without legitimate employment. The Trump administration had previously attempted to limit F-1 visas, but those efforts were blocked in court last month.
Potential impact on universities and students
If implemented, the fees would place a significant financial burden on colleges and universities, which currently bear no direct cost for sponsoring students in the OPT program. Critics argue the fees could deter international enrollment, while supporters contend the changes are necessary to prevent abuse of the program.
The proposal is open for public comment before potential finalization. The rule does not alter the existing $500 student application fee for OPT authorization but introduces new financial obligations for educational institutions.